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Arrow ECS Conducts Second-Annual Survey of IT Executives at Midsize Companies

40 Percent of Respondents Expect IT Budgets to Stay the Same in 2009

ENGLEWOOD, Colo., Jun 25, 2009 (BUSINESS WIRE) -- Providing its resellers with quantitative, current market data so they can make more informed business decisions, Arrow Enterprise Computing Solutions, a business segment of Arrow Electronics Inc. [NYSE: ARW], commissioned its second-annual survey of information technology decision makers at mid-sized companies.

"This study confirms many trends that resellers might have suspected but didn't have concrete evidence of before," said Robert Spee, director of marketing for the Midmarket and IBM Groups of Arrow ECS. "The survey clearly indicates what IT decision makers are focused on, what solutions they're most interested in, and what their budgets look like for 2009."

Among the survey findings, 40 percent of respondents indicated that they expect their IT budgets to stay the same in 2009. The number of executives who expect their budget to increase this year is equal to those who expect a decrease (29 percent). Those expecting an increase anticipate a 16 percent boost while those that expect a decrease think their budget will fall 18 percent.

Not surprisingly, 77 percent of respondents listed "reducing costs" as the most important business issue, making it the No. 1 concern for IT executives. This is more important to respondents than "improving security/reducing risk," which 38 percent listed as the most important issue in this year's survey but was noted by 78 percent in the 2008 study conducted by Arrow ECS.

However, security was the second-named initiative (59 percent) among those planned for the next six to 12 months, with data management being named most often at 61 percent. Nine out of 10 report that "better access and information sharing" and "meeting service-level objectives" are the key technology issues.

Approximately 38 percent of midmarket IT executives require evidence of return on investment for technical purchases, and those respondents require an average of 33 percent ROI. Only 12 percent require a one-year payback, while 33 percent look at the total cost of ownership over multiple years as the financial requirement.

"Arrow ECS can help resellers better support their customers during the downturn," said Spee. "One significant way that resellers can help their customers is to offer flexible financing options, which is available through Arrow ECS. We also offer a wide range of market information and reseller enablement resources through our MPower Midmarket Partner Program."

The study was conducted online in April by Echo Research, an independent research firm. The firm polled 200 IT executives in the United States. The participants are responsible for managing IT systems, assessing their company's IT needs and selecting IT consultants and service providers. They represent companies with 1,000 to 5,000 employees in the top IT sectors, manufacturing, health care or health services, financial services, distribution/wholesale, professional services and retail. The study is a follow-up to a benchmark study that Arrow ECS commissioned in 2008.

Further survey details are available exclusively to MPower resellers. To become an MPower reseller with Arrow ECS, please visit www.arrowmpower.com.

ABOUT ARROW ENTERPRISE COMPUTING SOLUTIONS

Arrow ECS, a business segment of Arrow Electronics Inc. [NYSE: ARW], provides enterprise and midrange computing products, services and solutions to value-added resellers, system integrators, and independent software vendors. Based in Englewood, Colo., and with offices in 26 countries, Arrow ECS connects its customers to the world's foremost technology suppliers, including HP, IBM, Sun Microsystems, EMC, NetApp, Hitachi Data Systems, and other leading storage networking, software, and security suppliers. Arrow ECS reported $5.4 billion in global enterprise computing solution sales in 2008. Subsidiaries include Asplenium, DNS, FINOVIA, Internet Security, IPvista, ITL, LOGIX, REL and Soft-Tronik. Visit www.arrowecs.com for more information.

SOURCE: Arrow Enterprise Computing Solutions

Arrow ECS
Dawn Small, 303-824-4188
Communications Manager
dsmall@arrow.com